Premier League revenues near £2bn but total net debt was £3.1bn.

cheets64

cheets64

cheets64

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http://news.bbc.co.uk/1/hi/business/8078533.stm

The Premier League saw its revenues soar by 26% in the 2007/08 season to nearly £2bn ($3.15bn; 2.2bn euros), a report into football finances has said.

But Premier League salary costs topped £1bn for the first time, and the clubs' total net debt was £3.1bn.

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Ouch, mega money in the prem, Liverpool have done well to get to the least amount of debt of the top 4, Newcastle's is shocking. Would like to see the rest of the teams in the prem and their debt, Wigan has a rumour of £60 million.

Only one winner the tax man.
 
Not really. Without knowing the exact details it's hard to say but can't imagine Newcastle are in a great deal of risk. The loans won't be called in while the club can't afford to pay them (unless Ashley becomes desperate for money and getting x% of the debt back is worth more than the club) so there's no a great deal to worry about.

Its the same with Chelsea. They're in huge debt to RA but as long as it doesn't have to be paid back there's nothing to worry about.
 
£170m on wages. Wow. If Chelsea have a squad of about 50 players, that means they are spending about £65k a week on average. That is quite frankly pathetic.
 
BaZ87 said:
Not really. Without knowing the exact details it's hard to say but can't imagine Newcastle are in a great deal of risk. The loans won't be called in while the club can't afford to pay them (unless Ashley becomes desperate for money and getting x% of the debt back is worth more than the club) so there's no a great deal to worry about.

Its the same with Chelsea. They're in huge debt to RA but as long as it doesn't have to be paid back there's nothing to worry about.
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What would happen if Ashley was to sell the club and walk away?

Would the debt transfer to the new owners?
 
Tute said:
What would happen if Ashley was to sell the club and walk away?

Would the debt transfer to the new owners?
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If the club was sold then the value of the bid to buy the club would include the debt on the club and would normally be refinanced by the new owners (either through loans from banks (secured either against personal assets of the club) or cash from the new owners (more than likely as another directors loan). For example the value of the deal for our yanks to buy us was around £250; ~£180m was paid to the old shareholders and the remainder was the clubs existing debt.

The thing with Newcastle is that nobody is going to pay anything close the the £250m that they owe let alone a penny more. The talk is that Ashley is asking for around £100m for the club which would mean the balance of the debt would be written off. How the new owners finance that ~£100m is anybodies guess though.

Basically the cheaper Newcastle are sold for, the better it is for the club.
 
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daz.wallace said:
I was quite surprised that Arsenals wage bill is higher than ours
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Arsene has said before that the stats are very deceiving as Arsenal don't hide the real cost of their wages through schemes etc. and if the actual figures were published Arsenal would be no where near the top

Greenlizard0 said:
Wow, £318m for Arsenal, honestly thought it was less than that.
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It's a shame that the end of Wenger's Arsenal career is going to be spent paying off that huge debt and that he'll never really get to spend :(.
 
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